NEW YORK, April 3 (Reuters) - The private equity owner of Dr. Squatch is exploring a sale of the men's grooming brand that it hopes will value the company at more than $2 billion, people familiar with the matter said on Wednesday.
The company, which is majority-owned by Summit Partners, is working with investment banks Raymond James and Centerview Partners to gauge interest from potential buyers, the sources said, requesting anonymity as the discussions are confidential.
Dr. Squatch currently generates 12-month earnings before interest, taxes, depreciation and amortization (EBITDA) of about $90 million and is growing rapidly, the sources said.
Dr. Squatch, Summit Partners, and Raymond James did not immediately respond to requests for comment. Centerview declined to comment.
Launched in 2013 by founder and CEO Jack Haldrup and named after the mythical creature Sasquatch, Dr. Squatch started out by selling handmade bar soaps for men. Haldrup created his own soap flavors out of his garage because natural soap for men is not widely produced by major personal care brands.
The Los Angeles-based company currently sells deodorant, hair care products, colognes, lotions and other personal care products through its website and at brick-and-mortar stores like Walmart and Target.
Dr. Squatch is known for its Super Bowl ads targeting men and unique scents like cold brew cleanse and grapefruit IPA.
The personal care segment has been a bright spot for dealmaking over the past year. Carlyle-owned grooming brand Every Man Jack has been exploring a sale, while Unilever agreed to sell one of its men's personal care brands, Dollar Shave Club, to private-equity firm Nexus Capital Management last year. (Reporting by Abigail Summerville and Anirban Sen in New York; editing by Diane Craft)
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